Go to Jeff Salisbury LWGate Home Page.From: "Katherine Malm" <kmalm@earthlink.net>
Subject: Re: [CANSLIM] DFXI
Date: Mon, 1 Apr 2002 01:24:15 -0600
Next Article (by Subject): [CANSLIM] OFF TOPIC for Tom "Tim Fisher"
Previous Article (by Subject): Re: [CANSLIM] DFXI "Katherine Malm"
Top of Thread: RE: [CANSLIM] DFXI "Tim Fisher"
Articles sorted by: [Date]
[Author]
[Subject]
This is a multi-part message in MIME format.
- ------=_NextPart_000_0176_01C1D91B.EF9EF140
Content-Type: text/plain;
charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable
Hi Bill,
I think insider buying and selling is useful, but only in context. For =
example, if I see that the stock is making new lows and there is a rash =
of insider selling....bad sign. If there has been no insider action for =
some time and then suddenly the buying action picks up...that might be a =
good sign. It's also helpful to know who is selling and what their =
personal selling patterns are. Have they suddenly changed? If I were =
looking at two stocks that were essentially equal in all respects, I'd =
choose the stock that had little or no insider selling and/or some =
insider buying over a stock that had persistent insider selling. From a =
CANSLIM perspective, WON advocates selecting stocks where there is =
evidence of insider buying for the same reason he advocates buying =
stocks of companies that are buying back their own stock in the open =
market. Just a sign of confidence...or as he says signs they're willing =
to "eat their own cooking." And as Martha Stewart would say "that's a =
good thing."
Katherine
----- Original Message -----=20
From: William King=20
To: canslim@lists.xmission.com=20
Sent: Sunday, March 31, 2002 11:51 AM
Subject: Re: [CANSLIM] DFXI
Thanks to all for the interesting and educational dialogue on DFXI. I =
note from DGO that there has been consistent insider buying and selling. =
I haven't run across a WON position on that yet. Is that something you =
consider or accept as normal practice?
Bill King
--- Original Message -----=20
From: Katherine Malm=20
To: canslim@lists.xmission.com=20
Sent: Sunday, March 31, 2002 9:04 AM
Subject: Re: [CANSLIM] DFXI
I agree with you all that this is textbook CANSLIM down to the =
leadership status, savvy business planning, high ROE, high Sales/EPS =
growth, low institutional ownership, share buyback, etc. (They also own =
Nautilus sleep systems....those mattresses that have air chambers =
instead of box springs and compete with Select Comfort)...Good point =
about buying TV ad time on the cheap, Robert....more business savvy. My =
concern was that the breakout coincided with an upgrade by US Piper =
Jaffray (didn't notice that high short interest until Ian pointed it =
out). That, combined with a lot of CANSLIM eyes on the stock makes me =
wary about the timing, not the validity of the stock itself. I'll bet =
there'll be plenty of "second chances" for entry near the pivot on this =
one. (Hopefully no high-volume-rock-pullbacks for your sakes Charley and =
Robert!)
Ian...a question for you--If you were to find a company like DFXI =
that fit all your requirements except the low price/microcap status you =
prefer....would you pass? Seems that when you look back on a long term =
chart of stocks like INTC, DELL, CSCO that were once $25 "pricey" =
stocks, those prices now look like tiny blips in comparison.
Happy Easter,
Katherine
----- Original Message -----=20
From: Chazmoore@aol.com=20
To: canslim@lists.xmission.com=20
Sent: Saturday, March 30, 2002 11:33 PM
Subject: Re: [CANSLIM] DFXI
Robert, Katherine, and Spencer:=20
Direct Focus, in my opinion, is basically a marketing company that =
has chosen to sell high quality leisure equipment. They have "branded" =
their products through heavy spot TV commercials, infomercials, =
Internet, response mailings and print media. Their products include =
Bowflex, Nautilus, Schwinn, and StairMaster. One strong trait is their =
ability to set the product price and hold it for an extended period of =
time. I sent off for their free video tape over a year ago and the =
Bowflex prices have not changed. They are growing through acquisition =
which is reducing their fixed costs, and they are a clear leader in =
their industry. Their IBD Industry Classification, Leisure-Products, has =
done quite well over the last several months.=20
Having said all that, the stock price could drop like a rock =
Monday, and if it does, I'm gone.=20
Charley=20
- ------=_NextPart_000_0176_01C1D91B.EF9EF140
Content-Type: text/html;
charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN">
<HTML><HEAD>
<META http-equiv=3DContent-Type content=3D"text/html; =
charset=3Diso-8859-1">
<META content=3D"MSHTML 6.00.2600.0" name=3DGENERATOR>
<STYLE></STYLE>
</HEAD>
<BODY bgColor=3D#ffffff>
<DIV>Hi Bill,</DIV>
<DIV> </DIV>
<DIV>I think insider buying and selling is useful, but only in context. =
For=20
example, if I see that the stock is making new lows and there is a rash =
of=20
insider selling....bad sign. If there has been no insider action for =
some time=20
and then suddenly the buying action picks up...that might be a good =
sign. It's=20
also helpful to know who is selling and what their personal selling =
patterns=20
are. Have they suddenly changed? If I were looking at two stocks that =
were=20
essentially equal in all respects, I'd choose the stock that had little =
or no=20
insider selling and/or some insider buying over a stock that had =
persistent=20
insider selling. From a CANSLIM perspective, WON advocates =
selecting stocks=20
where there is evidence of insider buying for the same reason he =
advocates=20
buying stocks of companies that are buying back their own stock in the =
open=20
market. Just a sign of confidence...or as he says signs they're willing =
to "eat=20
their own cooking." And as Martha Stewart would say "that's a good =
thing."</DIV>
<DIV> </DIV>
<DIV>Katherine</DIV>
<BLOCKQUOTE dir=3Dltr=20
style=3D"PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; =
BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px">
<DIV style=3D"FONT: 10pt arial">----- Original Message ----- </DIV>
<DIV=20
style=3D"BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: =
black"><B>From:</B>=20
<A title=3Dwk11@adelphia.net href=3D"mailto:wk11@adelphia.net">William =
King</A>=20
</DIV>
<DIV style=3D"FONT: 10pt arial"><B>To:</B> <A =
title=3Dcanslim@lists.xmission.com=20
=
href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>=
</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Sent:</B> Sunday, March 31, 2002 =
11:51=20
AM</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Subject:</B> Re: [CANSLIM] =
DFXI</DIV>
<DIV><BR></DIV>
<DIV><FONT face=3DArial size=3D2>Thanks to all for the interesting and =
educational=20
dialogue on DFXI. I note from DGO that there has been consistent =
insider=20
buying and selling. I haven't run across a WON position on that yet. =
Is that=20
something you consider or accept as normal practice?</FONT></DIV>
<DIV><FONT face=3DArial size=3D2></FONT> </DIV>
<DIV><FONT face=3DArial size=3D2>Bill King</FONT></DIV>
<DIV>--- Original Message ----- </DIV>
<BLOCKQUOTE dir=3Dltr=20
style=3D"PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; =
BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px">
<DIV=20
style=3D"BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: =
black"><B>From:</B>=20
<A title=3Dkmalm@earthlink.net =
href=3D"mailto:kmalm@earthlink.net">Katherine=20
Malm</A> </DIV>
<DIV style=3D"FONT: 10pt arial"><B>To:</B> <A =
title=3Dcanslim@lists.xmission.com=20
=
href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>=
=20
</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Sent:</B> Sunday, March 31, 2002 =
9:04=20
AM</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Subject:</B> Re: [CANSLIM] =
DFXI</DIV>
<DIV><BR></DIV>
<DIV>I agree with you all that this is textbook CANSLIM down to the=20
leadership status, savvy business planning, high ROE, high Sales/EPS =
growth,=20
low institutional ownership, share buyback, etc. (They also own =
Nautilus=20
sleep systems....those mattresses that have air chambers instead of =
box=20
springs and compete with Select Comfort)...Good point about buying =
TV ad=20
time on the cheap, Robert....more business savvy. My concern =
was that=20
the breakout coincided with an upgrade by US Piper Jaffray (didn't =
notice=20
that high short interest until Ian pointed it out). That, combined =
with a=20
lot of CANSLIM eyes on the stock makes me wary about the timing, not =
the=20
validity of the stock itself. I'll bet there'll be plenty of "second =
chances" for entry near the pivot on this one. (Hopefully no=20
high-volume-rock-pullbacks for your sakes Charley and =
Robert!)</DIV>
<DIV> </DIV>
<DIV>Ian...a question for you--If you were to find a company like =
DFXI that=20
fit all your requirements except the low price/microcap status you=20
prefer....would you pass? Seems that when you look back on a =
long term=20
chart of stocks like INTC, DELL, CSCO that were once $25 "pricey" =
stocks,=20
those prices now look like tiny blips in comparison.</DIV>
<DIV> </DIV>
<DIV>Happy Easter,</DIV>
<DIV>Katherine</DIV>
<BLOCKQUOTE=20
style=3D"PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; =
BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px">
<DIV style=3D"FONT: 10pt arial">----- Original Message ----- =
</DIV>
<DIV=20
style=3D"BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: =
black"><B>From:</B>=20
<A title=3DChazmoore@aol.com=20
href=3D"mailto:Chazmoore@aol.com">Chazmoore@aol.com</A> </DIV>
<DIV style=3D"FONT: 10pt arial"><B>To:</B> <A=20
title=3Dcanslim@lists.xmission.com=20
=
href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>=
=20
</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Sent:</B> Saturday, March 30, =
2002 11:33=20
PM</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Subject:</B> Re: [CANSLIM] =
DFXI</DIV>
<DIV><BR></DIV><FONT face=3Darial,helvetica><FONT size=3D2>Robert, =
Katherine,=20
and Spencer: <BR>Direct Focus, in my opinion, is basically a =
marketing=20
company that has chosen to sell high quality leisure equipment. =
They have=20
"branded" their products through heavy spot TV commercials, =
infomercials,=20
Internet, response mailings and print media. Their products =
include=20
Bowflex, Nautilus, Schwinn, and StairMaster. One strong trait is =
their=20
ability to set the product price and hold it for an extended =
period of=20
time. I sent off for their free video tape over a year ago and the =
Bowflex=20
prices have not changed. They are growing through acquisition =
which is=20
reducing their fixed costs, and they are a clear leader in their =
industry.=20
Their IBD Industry Classification, Leisure-Products, has done =
quite well=20
over the last several months. <BR><BR>Having said all that, the =
stock=20
price could drop like a rock Monday, and if it does, I'm gone.=20
<BR><BR>Charley=20
<BR></BLOCKQUOTE></BLOCKQUOTE></BLOCKQUOTE></FONT></FONT></BODY></HTML>
- ------=_NextPart_000_0176_01C1D91B.EF9EF140--
- -
- -To subscribe/unsubscribe, email "majordomo@xmission.com"
- -In the email body, write "subscribe canslim" or
- -"unsubscribe canslim". Do not use quotes in your email.
Next Article (by Subject): [CANSLIM] OFF TOPIC for Tom "Tim Fisher"
Previous Article (by Subject): Re: [CANSLIM] DFXI "Katherine Malm"
Top of Thread: RE: [CANSLIM] DFXI "Tim Fisher"
Articles sorted by: [Date]
[Author]
[Subject]